THEA Completes Bond Sale for Financing of the Selmon Extension

 THEA Completes Bond Sale for Financing of the Selmon West Extension

August 24, 2017 – Tampa, FL – The Tampa Hillsborough Expressway Authority (THEA) is pleased to announce that it has completed a $157 million bond sale to finance the Selmon West Extension.

THEA had six times the offers – over $1 billion in orders – for the offering.  Because of this overwhelming interest in investing in the Tamp Bay regions, THEA was able to reprice the bonds, thus saving over $800,000 in interest costs.

“The strong demand for the bonds is a reflection of the Authority’s solid financial condition, the positive reception of the project, and interest to invest in our community, said Vincent J. Cassidy, Chairman of THEA’s Board of Directors. “Investors see our region as a good place to put their money based on our strong demographic trends and prospect for continued economic growth as evidenced by other sizeable infrastructure projects in development and on the horizon,” Cassidy continued.

In addition to the strong economy and economic outlook, THEA also received rating news in the last two weeks.  Standard & Poor’s (S&P) Global Ratings raised its long-term and underlying ratings on THEA’s outstanding revenue bonds from A to A+.  At the same time, S&P also assigned its A+ rating to THEA’s Series 2017 Bonds for the financing of the Selmon West Extension. In addition, Moody’s Investor Services assigned its rating of A2 on THEA’s Series 2017 Bonds and affirms the A2 on THEA’s outstanding parity senior bonds.

THEA’s management team, traffic and revenue consultant, general engineering consultant, financial advisor and Board Chairman presented to both rating agencies in July.  THEA’s team reported strong traffic and revenue growth in recent years, steady population growth that provides adequate demand for the expressway, and the strong demand for the Selmon Expressway as an essential commuter facility. The A+ and A2 ratings from S&P and Moody’s respectively are reflective of their confidence in THEA’s financial strength and capabilities of operating and maintaining the Selmon Expressway and were an important factor in investor interest.
Proceeds from the Bonds will provide the Authority funding for capital projects, including the Selmon West Extension Project, which will offer travelers a direct connection to the Lee Roy Selmon Expressway, alleviating the traffic congestion on Gandy Boulevard and creating greater capacity and access to neighborhoods and businesses.

“THEA is well positioned over the next five years due to well-maintained physical assets and current capital program” stated Amy Lettelleir, THEA’s Chief Financial Officer. THEA’s revenue bonds and the agreement provides THEA with operational autonomy and complete control over revenues.

“We’re very happy with the ratings we received” said Mr. Cassidy.

For more information, call 813.272.6740 or email info@tampa-xway.com.

 

Bond Rating Increase for the Tampa Hillsborough Expressway Authority

Bond Rating Increase for the Tampa Hillsborough Expressway Authority

Upgraded bond rating attributed to sound fiscal management, traffic growth, steady and sustainable revenue growth above forecast

Tampa, FL – August 16, 2017 – The Tampa Hillsborough Expressway Authority (THEA) is extremely pleased to announce favorable ratings from two highly respected rating agencies.

Standard & Poor’s (S&P) Global Ratings has raised its long-term and underlying ratings on THEA’s outstanding revenue bonds from A to A+.  At the same time, S&P also assigned its A+ rating to THEA’s Series 2017 Bonds for the financing of the Selmon West Extension.  Among the independent expressway authorities in Florida, THEA has the highest rating from S&P.

In addition, Moody’s Investor Services assigned its rating of A2 on THEA’s Series 2017 Bonds and affirms the A2 on THEA’s outstanding parity senior bonds.

THEA’s management team, traffic and revenue consultant, general engineering consultant, financial advisor and Board Chairman presented to both ratings agencies in July.  THEA’s team reported stronger than forecasted traffic and revenue growth in recent years, steady population growth that provides adequate demand for the expressway, and the strong demand for the Selmon Expressway as an essential commuter facility. The A+ and A2 ratings from S&P and Moody’s respectively, are reflective of their confidence in THEA’s financial strength and capabilities of operating and maintaining the Selmon Expressway

The agency will go to the bond market at the end of this month to finance the Selmon West Extension project.  This is THEA’s first major construction project as an independent authority.

“Having S&P upgrade THEA’s rating to A+ and Moody’s affirmation of its A2 rating will result in lower borrowing costs for the Authority,” said Amy Lettelleir, THEA’s chief financial officer.

“THEA has worked hard to get and keep the Authority in a strong financial position.  This allows us to do more transportation projects for the Tampa Bay area, all without adding to the state’s debt,” said Joe Waggoner, executive director, THEA.

Board Chair Vincent J Cassidy said, “I couldn’t be more proud of our leadership team and all they have accomplished for the authority and our community. The raising of our bond rating is recognition of the successful execution of our strategy as well as how we manage our cash flow and our projects, including the upcoming $250 million expansion of our system.”

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ABOUT THEA:

As the owner and operator of the Selmon Expressway, the Tampa Hillsborough County Expressway Authority’s (THEA) mission is to provide safe, reliable, and financially sustainable transportation services to the Tampa Bay region while reinvesting customer-based revenues back into the community.

Our vision is to lead, partner, and implement safe, economically sound, and innovative multi-modal transportation solutions for our Tampa Bay Community.

Follow the THEA on Twitter: @THEASelmon
Like us on Facebook: www.Facebook.com/TampaHillsboroughExpresswayAuthority/

THEA Board of Directors Approves Selmon Extension Design-Build Contract

Artistic Rendering

Tampa Hillsborough Expressway Authority Board of Directors Approves Selmon West Extension  Design-Build Contract

August 14, 2017, Tampa, Fla, -The Tampa Hillsborough Expressway Authority (THEA) Board of Directors voted to approve awarding the Selmon West Extension Design-Build contract to the team comprised of Kiewit and AECOM. The Selmon Extension is a 1.6-mile toll lane in the median of Gandy Boulevard that will offer a choice for regional travelers: use Gandy Boulevard for local destinations or use the Selmon Extension for a direct connection to the Lee Roy Selmon Expressway, Dale Mabry Highway or the Gandy Bridge.

THEA’s goal while writing the RFP was to find the team best suited to build an aesthetically pleasing bridge while minimizing the impact on residents, business owners, and commuters, during the construction process.  Four teams were selected to compete in the final round of the RFP process and were asked to submit proposals that showcased innovative in both design and construction techniques.

After an extensive RFP process, the Kiewit and AECOM team received the highest scores and were awarded the design/build contract. THEA’s Technical Review committee did not select the winning team based on the lowest bid.  Other factors like design approach, construction approach, and the maintenance of traffic patterns along Gandy Boulevard were considered and weighed heavily during the scoring process.

“Local residents and Gandy businesses are important to our us and our community and in an effort to minimize construction impact and to ensure the project is completed according to THEA’s approved timeline, teams that responded to the RFP were tasked with including cutting-edge techniques and schedules to complete the project in strict compliance with THEA’s timeline,” Joe Waggoner, CEO of THEA said. “The winning team will be penalized for excessive lane closures, median opening closures, and detours over and above those approved by THEA,” Waggoner added.

“It was a competitive process with several outstanding teams submitting RFP responses. I know the THEA Technical Review committee took significant time and consideration in reviewing the responses and selecting the overall best team to complete this project in a timely and aesthetically-pleasing manner that will further connect the Tampa Bay region,” said Vince Cassidy, Chairman of THEA’s Board of Directors.

Construction of the Selmon West Extension is expected to begin in early 2018, with an anticipated operational date in late 2020.

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 ABOUT THEA:

As the owner and operator of the Selmon Expressway, the Tampa Hillsborough County Expressway Authority’s (THEA) mission is to provide safe, reliable, and financially sustainable transportation services to the Tampa Bay region while reinvesting customer-based revenues back into the community. Our vision is to lead, partner, and implement safe, economically sound, and innovative multi-modal transportation solutions for our Tampa Bay Community.

Like us on Facebook: https://www.facebook.com/selmonextension/

Follow us on Twitter: https://twitter.com/selmonextension

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